Mauritania central bank raises interest rate to 7.25%
The central bank also increased the mandatory reserve rate for banks from 8% to 15% to combat rising inflation.
The Mauritanian central bank increased its key interest rate by 50 basis points, from 6.75% to 7.25%, on January 11, 2026. The bank also raised the mandatory reserve rate for commercial banks from 8% to 15%. These measures aim to curb inflation, which reached 9.3% in September 2026.
According to a statement from the Monetary Policy Council, these decisions are intended to control inflationary pressures, anchor price stability expectations, and absorb excess banking liquidity. The council noted that the real interest rate, adjusted for inflation, remains negative. The increase in mandatory reserves is expected to immobilize an additional 10.19 billion ouguiyas in banks, bringing the total to approximately 21.83 billion ouguiyas.
The Monetary Policy Council cited accelerating inflation, which surpassed its previous forecast of 8.2% for September, and signs of price increases spreading beyond fresh produce and energy as reasons for tightening monetary policy. The council warned of rising inflation risks due to potential increases in imported energy and food costs, noting that previous forecasts assumed falling international prices and stable fuel costs.
Why it mattersMauritanian banks will have approximately 10.19 billion more ouguiyas immobilized due to increased reserve requirements.